Leerink Partners analyst David Risinger has reiterated their bullish stance on LLY stock, giving a Buy rating yesterday.
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David Risinger’s rating is based on several optimistic expectations surrounding Eli Lilly’s development of orforglipron, their once-daily oral GLP-1 treatment. The company’s Chief Scientific Officer, Dan Skovronsky, has projected that this treatment will demonstrate efficacy and safety comparable to Novo Nordisk’s semaglutide, which is administered weekly. Particularly encouraging is the absence of liver toxicity concerns, a significant factor as seen with Pfizer’s discontinuation of a similar drug due to such issues.
Furthermore, the ongoing Phase 3 trials involve a substantial sample size, with most trials fully enrolled, indicating strong progress and commitment. Risinger anticipates that if initial trial results are compelling and free from liver toxicity risks, there could be a favorable market response, potentially boosting Eli Lilly’s stock value. The trials are designed to provide insights into both diabetes management and weight loss, with upcoming disclosures expected in 2025. This strategic development positions Eli Lilly positively in the competitive landscape, justifying the Buy rating.
In another report released yesterday, Truist Financial also maintained a Buy rating on the stock with a $1,038.00 price target.